Major-General Jenronnarong Detwan, 56, was arrested by the military yesterday at a hotel near the seedy Patpong area charged with extorting money from street vendors, the Defence Ministry told AFP.
"He is the most senior member of the military ever arrested for extortion," said the ministry's Lieutenant Colonel Burin Tongprapai, who led the arrest.
Patpong is a strip of go-go bars catering mainly to foreigners attracted by Thailand's huge sex industry.
Jenronnarong has denied the charge.
"But he said he took money from traders to pay the owners of the copyrighted goods," according to Burin, who added the general is now under both criminal and military investigation.
Junta spokesman Colonel Winthai Suvaree confirmed the arrest.
The military also arrested four civilians accused of working with Jenronnarong.
Since seizing power, Thailand's new junta rulers have vowed to root-out corruption across the kingdom.
The junta has since suspended democracy, muzzled dissent and imposed sweeping curbs on freedom of expression as it bids to re-write the constitution and enact political reforms before holding new elections around October next year.
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